Intermediate Microeconomcis A Midterm Practice Questions & Answers
1 view 0 purchase
Module
ECON 3100
Institution
ECON 3100
ntermediate Microeconomcis A Midterm Practice Questions
Chapter 1
1. The problem of scarcity
a. arises only in poor countries.
b. exists because the price of goods is too high.
c. exists because of limited resources.
d. will eventually be solved by better planning.
ANSWER: c
POINTS: 1
2. I...
intermediate microeconomcis a midterm practice questions amp answers
Written for
ECON 3100
All documents for this subject (22)
Seller
Follow
PossibleA
Reviews received
Content preview
oo
Intermediate Microeconomcis A Midterm Practice Questions
Chapter 1
1. The problem of scarcity
a. arises only in poor countries.
b. exists because the price of goods is too high.
c. exists because of limited resources.
d. will eventually be solved by better planning.
ANSWER: c
POINTS: 1
2. If society is producing a combination of goods on its production possibilities frontier
a. it must be employing all available resources.
b. it must be growing.
c. it is using all the available natural resources but may not be using all available
labor resources.
d. Both a and b.
ANSWER: a
POINTS: 1
3. The slope of the production possibility frontier shows
a. how inputs must be changed to keep them fully employed.
b. the technically efficient combinations of the two goods.
c. how demanders are willing to trade one good for another.
d. the opportunity cost of one good in terms of the other.
ANSWER: d
POINTS: 1
4. Positive economic analysis
a. involves the study of firms with positive profits.
b. involves how resources are actually used in an economy.
c. involves judgments on how resources should be used in an economy.
d. is usually thought to be a waste of time.
ANSWER: b
POINTS: 1
5. A major problem that may occur with models that predict the values of economic variables in
the future is that
a. researchers are pessimistic about the future.
b. the model may fail to acknowledge that economic actors will change their
behavior in response to changing situations.
, c. the model may make predictions that conflict with widely held opinions.
d. no one cares about these predictions.
ANSWER: b
POINTS: 1
6. For the equation the point ,
a. yields a value of .
b. lies below the contour line that includes the point , .
c. lies on the same contour line as the point , .
d. Both a and b.
ANSWER: d
POINTS: 1
7. If the production possibilities frontier can be expressed as then the point ; is
a. outside the production possibilities frontier
b. on the production possibilities frontier
c. inside the production possibilities frontier
d. in the wrong quadrant to be on the graph
ANSWER: a
POINTS: 1
8. Suppose and . The equilibrium quantity is
a. 2
b. 3
c. 4
d. 5
ANSWER: c
POINTS: 1
9. The Ricardian notion that of diminishing returns implies that
a. as more input is used more output will be made.
b. as more input is used less output will be made.
c. as more input is used the increase in output will increase.
d. as more input is used the increase in output will decrease.
ANSWER: d
POINTS: 1
10. Economists typically use ____ analysis, whereas clergy members typically use ____ analysis.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller PossibleA. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for £6.52. You're not tied to anything after your purchase.
